The Bulgarian Parliament on March 19 officially approved the State Social Security budget, which will include an 8.6% increase in pensions starting on July 1.
After lengthy discussions, parliament approved the budget of the State Social Insurance (SSI), which provides for:
An increase in the minimum social security income to BGN 1,077.
The maximum social security income becomes BGN 4,130.
Maternity benefits for the second year will be BGN 780.
Pension indexation by 8.6% from 1 July.
None of the opposition's proposals were accepted.
Minister of Labour and Social Policy, Borislav Guțanov, explained the philosophy behind the state social security budget:
"This was the feasible budget. I am glad we managed to keep the tax burdens unchanged in order to ensure high social expenditures and protect the most vulnerable groups," said Guțanov.
Political Parties' Reactions:
"We Continue the Change - Democratic Bulgaria" coalition accused "BSP - United Left" of inflating spending without securing revenue.
"Never in Bulgaria's recent history has there been an increase in spending by nearly BGN 19 billion. This is a historic surge, extremely left-wing politics and very dangerous. The BSP should be happy because they like it to be left-wing and dangerous, but in the end, the result could be like under Zhan Videnov," said Martin Dimitrov of the WCC-DB.
The BSP defended the high social spending.
"Until recently, we suffered criticism that the budget was not left-wing enough, and now you claim the opposite. Spending is really at an unprecedented growth and there has never been such high social spending. This is thanks to the ruling majority", explained Dragomir Stoynev from BSP - United Left.
Former Finance Minister Assen Vassilev proposed four measures, two of which he said did not burden the budget but did not receive support.
"I proposed full payment of maternity benefits for both the first and second year. According to the National Social Security Institute (NOI), if half of the mothers who stay at home return to work, this will bring over 100 million BGN in additional revenues," said Vassilev from WCC-DB.
He also proposed that the maximum unemployment benefit be increased to 117 BGN per day if the maximum social security income were increased by 10%, but this proposal was also rejected.
The "Vazrazhdane" party called for an increase in unemployment benefits and maternity allowances but was unsuccessful.
"We proposed increasing maternity benefits to 1100 BGN, but it remains 770 BGN for three years. This is not social policy," said Tsontcho Ganev from "Vazrazhdane."
DRF insisted that the minimum social security income for farmers and tobacco growers should not be increased, but the proposal was rejected.
"We insist that the minimum social security income for registered farmers remain at 933 BGN, instead of being raised to 1,077 BGN from April 1 as set in the budget," said Sevimi Ali.
"Velichie" party proposed an unconventional method for raising budget revenue.
"If we fine each mayor 10,000 BGN for an illegal landfill, we will raise 300 million BGN for the budget," commented Krasimira Katintcharova from "Velichie."
On the sidelines of parliament, Delyan Peevski confirmed that his party would support the three budgets.
"There will be no chaos. The state will be stable, there will be a budget, and we will work for the people. Hopefully we will enter the Eurozone. I will not allow the country to fall into crisis," stated Delyan Peevski, leader of "MRF - New Beginning."
Photos by Dessislava Kulelieva
Boyko Borissov, leader of GERB, accused the opposition of having a short memory and called for a focus on the people.
"I worked for a year with floating majorities – with Peevski, Petkov, Hristo, Atanas. When we went to see Zelensky, Peevski was the coolest. Now, when it’s time to approve the Constitution or the budget, you start asking whether we will support it. Our MPs are in parliament and will vote for it," GERB leader Boyko Borissov said.
After six hours of debate, the Parliament approved the social security budget.
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